On July 10, 2020, Insurance Regulatory and Development Authority of India (IRDAI) made it mandatory for all general and health insurers to launch short-term standard health policies for coronavirus disease (Covid-19) viz. Corona Kavach and Corona Rakshak, due to rapid increase in COVID-19 cases in India. Notably, the premium under both the products shall be the pan-India basis and no geographic location or zone-based pricing will be allowed.
- Minimum entry age for both the policies will be 18 years and the maximum 65.
- Dependent children shall be covered from the age of three months to 25 years.
About Corona Kavach
Despite being a coronavirus-specific policy, the standard indemnity-based Covid-19 policy, ‘Corona Kavach’, will cover the cost of treatment of any co-morbid conditions, including pre-existing conditions, along with the treatment for the coronavirus infection or disease.
- Tenure range– 3.5 months to 9.5 months.
- Minimum sum insured– Rs 50,000
- Maximum sum insured– Rs 5 lakh.
- 5% discount for healthcare workers.
Under an indemnity plan, a policyholder is reimbursed the hospitalisation expenses to the extent of the sum insured which includes room and boarding charges along with PPE kits, gloves, masks and such other similar expenses and even AYUSH treatment. It will also cover home care treatment expenses of up to 14 days.
About Corona Rakshak
Corona Rakshak is a single-premium plan which will pay out 100% of the sum insured as lump-sum if the policyholder is hospitalised, at least for 72 hours, after testing positive for Covid-19. The policy will cease to exist once the claim is paid out.
- Minimum sum insured– Rs 50,000
- Maximum sum insured– Rs 2.5 lakh
- Tenure range– 3.5 months to 9.5 months.
Points to be noted:
-There is no option to pay premiums in instalments for both these products. Both policies will come with a 15 days waiting period, during which no claim will be accepted.
-Dependent children shall be covered from the age of three months to 25 years. Only the indemnity policy comes with the family floater option.
About Insurance Regulatory and Development Authority of India (IRDAI):
Chairman– Dr. Subhash Chandra Khuntia
Headquarter– Hyderabad, Telangana
